Inventory management and stock optimisation
Achieve the right stock balance across your distribution network
Inventory management is a balancing act. Hold too much stock and you tie up working capital, increase the risk of obsolescence, and inflate storage costs. Hold too little and you face stockouts, missed orders, and emergency sourcing at short notice. Getting the balance right across a distribution network requires planning that accounts for forecast reliability, target service levels, lead times, and supplier constraints simultaneously.
Carrying too much stock ties up working capital and increases the risk of obsolescence. Carrying too little leads to stockouts, missed orders, and emergency sourcing. Getting inventory levels right across a distribution network requires planning that accounts for forecast reliability, target service levels, lead times, and supplier constraints simultaneously.
What inventory management software does for your business
The benefits of adopting a vendor-planned inventory management software affect all levels of the logistics-distribution chain:
- Service-level improvement, limiting stock-outs
- Inventory cost reduction, by reducing surplus stock
- Improved profit margins, through the application of targeted replenishment policies
- Supply cost reduction, with the option of forward planning
- Optimized stock control in relation to individual distribution warehouses
- Logistics cost reduction linked to stock transfers
sedApta inventory management: key features
sedApta's inventory management software gives planners the tools to manage stock optimally across every node in the logistics network — from central warehouse to regional distribution centres.
The two analytical modules in this tool are capable of ensuring the achievement of important strategic advantages:
Inventory Control
Inventory Control is the component that helps determine the replenishment plan for each node on the logistics chain. Through the simulation of multiple scenarios, the tool allows users to determine the best inventory policy, considering the target service level, stock coverage objectives and characteristics and constraints of the logistics chain (e.g. supplier lead times).
Inventory Planning
The module calculates optimum safety stock using a mathematical engine. Compliant determination of the service level is ensured through reliability of the forecast curves and the financial and logistics parameters.
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Value creation across the planning horizon
Accurate demand management gives manufacturers better visibility of what customers will need and when — reducing the stock imbalances and reactive purchasing that come from getting the forecast wrong. Find out how sedApta Suite helps planning teams improve forecast accuracy and reduce the cost of demand uncertainty.